Key Highlights :
1. Indian companies' ability to repay debt remains under pressure due to high interest costs and employee expenses.
2. Interest coverage ratio (ICR) stands at 6.19 times, marginally better than 6.12 times in the September quarter but significantly lower than 7.84 times in the December quarter.
3. The pressure on ICR is due to a rise in the cost of capital for the companies and lower export volumes.
4. The overall increase in raw material cost is also putting pressure on operating performance.
Indian companies remain under pressure to repay debt as their financing and employee expenses remain high despite relief on raw material costs.
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